Description of Proposed Amendments to Regulation 909: Administrative Penalties
Bill or Act:
Pension Benefits Act
Summary of Proposal:
Bill 70, Building Ontario Up for Everyone Act (Budget Measures), 2016, amended the Pension Benefits Act (PBA) to add provisions, currently unproclaimed, that would provide the Superintendent of Financial Services (Superintendent) with the authority to impose administrative penalties if the Superintendent is satisfied that a person is contravening a prescribed provision of the PBA or the regulations, a requirement imposed by order, or an obligation assumed by way of undertaking.
This posting describes the proposed provisions of the PBA and associated regulations contravention of which could result in the imposition of general or summary administrative penalties by the Superintendent. It also describes the criteria the Superintendent would be required to consider before imposing an administrative penalty, as well as the deadlines that would have to be met with respect to payment of the administrative penalties.
The following provisions of the PBA would be proclaimed into force should the proposed regulation be approved: sections 108.1-108.5; s. 115 (1) (z.3); and s. 115 (1.1). Once proclaimed into force, these provisions would provide the Superintendent with the ability to impose administrative penalties, subject to certain maximums (see unproclaimed s. 108.4) and procedural safeguards , including the right of a person to request a hearing when notified of the Superintendent's intended decision (in the case of general administrative penalties) or appeal the Superintendent's order to the Financial Services Tribunal within 15 days after the order is given to the person (in the case of summary administrative penalties).
A transition period will be provided to give administrators, employers and the regulator time to adjust to the new regime.
Further details of the proposal are attached below.
May 9, 2017
Comments Due Date:
June 12, 2017
Administrative Penalties Regulations
Pension Initiatives Unit, Pension Policy Branch
Ministry of Finance
5th Floor, Frost Building South
7 Queen's Park Crescent East